iRobot Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

iRobot Corp. (NASDAQ: IRBT) has announced the granting of equity awards to its newly-hired President and Chief Operating Officer, Jeff Engel, as a material inducement to his employment. The awards, approved by iRobot's Board of Directors on September 6, 2024, consist of:

188,955 time-based restricted stock units (RSUs) vesting over a three-year period, subject to continuous employment.

181,545 performance-based restricted stock units (PSUs) vesting in three tranches over a four-year performance period, based on continuous employment and achievement of iRobot's common stock price milestones.

These inducement awards were granted outside iRobot's equity incentive plan, in accordance with Nasdaq Listing Rule 5635(c)(4).

Positive

• Appointment of Jeff Engel as President and Chief Operating Officer
• Granting of substantial equity awards to attract top talent
• Implementation of performance-based incentives tied to stock price milestones

Negative

• Potential shareholder dilution due to issuance of new equity awards

BEDFORD, Mass., Sept. 10, 2024 /PRNewswire/ -- iRobot Corp. (NASDAQ: IRBT), a leader in consumer robots, today announced that it granted equity awards as a material inducement to the employment of the company's newly-hired President and Chief Operating Officer, Jeff Engel.

Notice of Issuance of Inducement Grant
In connection with the appointment of Mr. Engel as President and Chief Operating Officer effective August 6, 2024, iRobot granted Mr. Engel employment inducement awards consisting of (a) 188,955 time-based restricted stock units ("RSUs") and (b) 181,545 performance-based restricted stock units ("PSUs"), each with an effective grant date of September 6, 2024. The RSUs will vest over a three-year period, subject to Mr. Engel's continuous employment on each vesting date. The PSUs will vest in three tranches over a four-year performance period based on Mr. Engel's continuous employment through the service period for the applicable tranche and iRobot's achievement of certain price milestones of iRobot's common stock.

The inducement awards to Mr. Engel were granted as a material inducement to his employment and were approved by iRobot's Board of Directors on September 6, 2024, in accordance with Rule 5635(c)(4) of The NASDAQ Stock Market LLC. The awards were granted outside iRobot's equity incentive plan.

About iRobot Corp.
iRobot is a global consumer robot company that designs and builds thoughtful robots and intelligent home innovations that make life better. iRobot introduced the first Roomba robot vacuum in 2002. Today, iRobot is a global enterprise that has sold more than 50 million robots worldwide. iRobot's product portfolio features technologies and advanced concepts in cleaning, mapping and navigation. Working from this portfolio, iRobot engineers are building robots and smart home devices to help consumers make their homes easier to maintain and healthier places to live. For more information about iRobot, please visit www.irobot.com.  

 

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SOURCE iRobot Corporation

FAQ

What equity awards did iRobot (IRBT) grant to its new President and COO?

iRobot granted Jeff Engel 188,955 time-based restricted stock units (RSUs) and 181,545 performance-based restricted stock units (PSUs) as inducement awards for his employment as President and COO.

When will the RSUs granted to iRobot's (IRBT) new executive vest?

The RSUs granted to Jeff Engel will vest over a three-year period, subject to his continuous employment on each vesting date.

How are the PSUs for iRobot's (IRBT) new President and COO structured?

The PSUs will vest in three tranches over a four-year performance period, based on continuous employment and achievement of certain iRobot common stock price milestones.

When did Jeff Engel start as iRobot's (IRBT) President and Chief Operating Officer?

Jeff Engel's appointment as iRobot's President and Chief Operating Officer became effective on August 6, 2024.